West Brom Building Society has launched a Help to Buy ISA product with a rate of 2.00%.
Up to £1,200 can be deposited in the first calendar month and then up to £200 after that.
First-time buyers taking out the ISA can use it to get a 25% bonus towards buying a house once they have more than £1,600 saved. This is applicable for properties costing less than £250,000 in the UK and less than £450,000 in London.
Sophie Dwyer, the West Brom’s product manager for savings, said: “We have a good track record of lending to first time buyers to support their aspirations for home ownership, so adding a Help to Buy: ISA to our portfolio is a logical next step.
“It means we can offer assistance to those customers who want to get onto the property ladder but still need time to save the necessary funds for a deposit. If they can secure an additional contribution from the government, as well as a competitive rate of interest, then hopefully that savings goal can be achieved a little more quickly.”